China stocks poised for muted reopening after HK’s surge

Stocks on the China mainland may struggle to keep up with any initial upward momentum unless policymakers take more steps to restore investor confidence, including stronger fiscal spending and further credit loosening.

HONG KONG: Chinese shares look poised for mild early gains on their return from a week-long holiday, supported by a surge in Hong Kong-listed names and easing concerns about regulatory headwinds for the nation’s battered tech sector.

A United States-listed exchange-traded fund tracking the benchmark CSI 300 Index gained 1.6% last week, the most in about two months, while Hong Kong’s Hang Seng China Enterprises Index jumped nearly 3% last Friday in its first session post the Lunar New Year break.